It’s quite common for individuals or companies fearing that they’re about to be made insolvent to attempt to put relevant assets beyond the reach of creditors by transferring them to others. Commonly, insolvent individuals try to transfer properties or their share in properties (often the family home) and other assets to a spouse or family member. Typical tactics by insolvent companies include paying extraordinary dividends to shareholders or repaying directors' loan accounts immediately before becoming insolvent.
The law protects those who are owed money by insolvent individuals and companies, and specifically prohibits this kind of deceitful conduct.
If the people who received the assets refuse to return them, the court can be asked to step in and compel them to hand them over or pay their monetary equivalent.
Often, recipients see the sense in returning the assets and where this happens, the process is a lot more straightforward and cost-effective for you.
It gets more costly and potentially complex where the assets no longer exist in their original form or they’ve been moved on to other people, for example, but that won’t stop us from ensuring you have the best chance of getting your money repaid.
We advise businesses and individuals (called creditors) who are owed money in these circumstances. We also advise insolvency practitioners looking to take formal steps to recover assets and we’re good at getting these back.
We’ll start with a detailed first review of your position and options, including pragmatic recommendations and a proposed tactical plan. We’ll then provide you with quotes and timescales for the subsequent steps identified in the tactical plan.
Don’t worry, we handle similar cases to this on a daily basis with a track record for success in keeping tenancy relationships positive and lease terms clear. We’re a safe choice for you and we’re ready to help.